The unemployment rate fell marginally to 4.3% in the three months to October 2017, the joint lowest unemployment rate since 1975, according to the Office for National Statistics (ONS).
However, the rate of the fall in the number of unemployed, which stands at 1.43 million, slowed when compared to the sharp fall in the months leading up to July this year.
Employment hit 75.1%, down by 0.2% since the previous quarter, the data showed, but overall there are still 325,000 more people in work this year than there were in 2016, the ONS said.
The data was marked as good news for consumers.
Guy Foster, Brewin Dolphin’s head of research, said: “Unemployment was flat but wage growth picked up which was good news for consumers following yesterday’s slightly higher inflation numbers and weaker house price growth. Gilts were a little softer following the release.”
Average weekly earnings were up 2.5% year on year, still far below the inflation rate which hit 3.1% on Tuesday.
Royal London Asset Management’s economist Ian Kernohan said the data was “mixed” and showed real earnings growth was still negative.
“In real terms, after taking account of rising inflation, real earnings growth is still negative, however we expect this situation to improve next year as inflation falls back,” he said.
Kernohan added: “There was nothing in the data to suggest that the Bank of England should quicken the pace of policy tightening and we expect interest rates to remain on hold well into next year.”
